Professional services
HVAC Insurance Calculator
Works insurance cost for an HVAC contractor, where combustion and refrigerant create distinct exposures.
Result
An estimating tool, not insurance advice and not a quote. Underwriting sets real premiums on claims history, exact operations and contract requirements. What cover you need is a question for a licensed broker. HVAC combines electrical, gas, refrigerant and roof work, so the class codes and rates depend on what share of the work involves each. Refrigerant handling and hot work both carry specific requirements. Uninsured subcontractors are commonly added to your payroll base at audit, which produces large adjustments. Collect certificates before work starts.
Get a Free Business AuditHow the calculation works
Each line totalled annually and monthly, with the share of revenue shown: general liability including completed operations, workers compensation, commercial vehicle, tools and equipment, and installation floater cover for equipment on site before it is handed over. Payroll and revenue drive most of the rating.
What moves the number
- Payroll and revenue.
- Whether the work includes rooftop and height access.
- Combustion work and the exposure it carries.
- Equipment stored on site awaiting installation.
Where this one goes wrong
Combustion appliance work carries an exposure unlike most contracting, because an improperly installed or vented appliance can produce carbon monoxide, and a claim of that kind is both severe and attributable to the installer long afterwards. Completed operations cover is therefore central rather than incidental. The other line worth checking is equipment on site before handover: a unit delivered to a job and stolen or damaged before it is installed may not sit under either the contractor's property cover or the client's, and an installation floater is what fills that gap.
Before you quote
- Confirm completed operations responds to combustion work claims.
- Carry installation floater cover for equipment on site.
- Check rooftop and height work is within classification.
Where the rules come from
Questions
About this calculator
What is the most serious HVAC liability exposure?
Combustion work, because an improperly installed or vented appliance can produce carbon monoxide, and such a claim is severe and attributable to the installer long afterwards. That makes completed operations cover central rather than incidental.
Who insures equipment sitting on a job site?
Often nobody, unless an installation floater is in place. A unit delivered and then stolen or damaged before installation can fall outside both the contractor's property cover and the client's, and that gap is worth closing before it is tested.
Does rooftop work change my premium?
It can, since height exposure is rated differently from ground-level work. A contractor doing substantial rooftop installation should have the classification reflect it, because a misclassification found at audit is corrected with arrears rather than going forward.
The formula
general liability on revenue, workers compensation on payroll at the class rate, plus commercial auto per vehicle
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Please keep the attribution line. It is the only thing we ask in return.
How to use this calculator
- Annual revenue ($). Enter your own figure; the page starts at $950,000.
- Annual payroll ($). Enter your own figure; the page starts at $380,000.
- General liability rate per $1,000 of revenue. Enter your own figure; the page starts at 7.8.
- Workers compensation rate per $100 of payroll. Enter your own figure; the page starts at 4.2.
- Vehicles. Enter your own figure; the page starts at 5.
- Commercial auto per vehicle ($). Enter your own figure; the page starts at $1,900.
The result updates as you type, so you can try a figure, see what it does to total annual premium, and change it back. Nothing you enter is sent anywhere or saved.
A worked example
These are the figures the calculator opens with. Every number in the results column below is produced by the same calculation the page runs, so you can follow it through before putting your own figures in.
What goes in
| Input | Value |
|---|---|
| Annual revenue | $950,000 |
| Annual payroll | $380,000 |
| General liability rate per $1,000 of revenue | 7.8 |
| Workers compensation rate per $100 of payroll | 4.2 |
| Vehicles | 5 |
| Commercial auto per vehicle | $1,900 |
| Claims history loading | 0% |
What comes out
| Result | Value |
|---|---|
| Total annual premium main result | $32,870 |
| General liability | $7,410 |
| Workers compensation | $15,960 |
| Commercial auto | $9,500 |
| As a share of revenue | 3.46% |
About $32,870 a year across all three policies, 3.46% of revenue. Workers compensation at $15,960 is usually the largest line for this trade, and the experience modifier is the part you control.
How sensitive the answer is
Holding everything else steady and changing only annual revenue, this is what happens to total annual premium. It is worth knowing which of your inputs the answer actually hinges on, and which barely move it.
| Annual revenue ($) | Total annual premium |
|---|---|
| $475,000 | $29,165 |
| $712,500 | $31,018 |
| $950,000 example above | $32,870 |
| $1,425,000 | $36,575 |
| $1,900,000 | $40,280 |
Every other input is held at the example value while this one changes, which is not how a real job behaves. Treat it as a guide to which number matters most, not as five separate quotes.
What each figure means
- Annual revenue ($)
- A money amount, starting at $950,000.
- Annual payroll ($)
- A money amount, starting at $380,000.
- General liability rate per $1,000 of revenue
- A number, between 0 and 60, starting at 7.8.
- Workers compensation rate per $100 of payroll
- A number, between 0 and 60, starting at 4.2.
- Vehicles
- A number, between 0 and 200, starting at 5.
- Commercial auto per vehicle ($)
- A money amount, starting at $1,900.
- Claims history loading (%)
- A percentage, between 0 and 200, starting at 0%.
What the results tell you
| Result | What it is |
|---|---|
| Total annual premium | The headline result. A money figure. |
| General liability | A money figure. |
| Workers compensation | A money figure. |
| Commercial auto | A money figure. |
| As a share of revenue | A percentage. |
Keep going
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